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US Stocks Close Lower Amid Elevated Inflation and Anticipation of Nvidia Earnings

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US stocks closed lower on Wednesday as investors digested the latest inflation data and awaited Nvidia's quarterly earnings. The Dow Jones industrial average fell by 113.52 points, or 0.21%, to finish at 53,463.88. The S&P 500 slipped 1.58 points, or 0.02%, to close at 7,675.70.

The personal consumption expenditures price index, the Federal Reserve's preferred inflation gauge, rose slightly more than expected in July. This suggests that price pressures remain elevated, with the core index increasing 3.3% annually, in line with expectations.

US Treasury yields moved higher following the inflation data, rising about 1 basis point to 4.65%. Investors are closely watching Nvidia's second-quarter earnings, due after the closing bell, as the company's results and guidance have a significant impact on the market.

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